Labor and Employment Secretary Rosalinda Dimapilis-Baldoz yesterday issued an early appeal to all employers in the country’s private sector, urging them to observe the pay rules and other core labor standards during the Christmas and New Year holidays.

“It’s Christmas. Our employers should share the blessing and joy of the season and, in the interest of our workers’ welfare and protection, pay them correctly during the holidays,” said Baldoz as she reiterated the pay rules applicable for Christmas and the New Year holidays.

Pursuant to President Benigno S. Aquino III’s Proclamation No. 459, Series of 2012, Declaring the Regular Holidays, Special (Non-Working) Days, and Special Holiday (For All Schools) for the Year 2013, Christmas Day, which falls on a Wednesday, 25 December and Rizal Day, which falls on a Monday, 30 December are regular holidays.

Also, the last day of the year, Tuesday, 31 December is a special (non-working) day, while the day before Christmas, Tuesday, 24 December, is an additional special (non-working) day.

Baldoz added that by virtue of President Aquino III’s Proclamation No. 655, Series of 2013, Declaring the Regular Holidays, Special (Non-Working) Days, and Special Holiday (For All Schools) For the Year 2014, New Year’s Day, a Wednesday, 1 January 2014, is also a regular holiday.

Baldoz reiterated that “proper observance of the pay rules on regular holidays and special non-working days is a decent work standard that encourages productive and proficient workers.”

“Voluntary compliance with labor laws, including correct wage payment during holidays, denotes workplace excellence and redounds to the competitiveness of business and the country’s industries,” she said.

Based on the aforementioned presidential issuances, Baldoz had issued Labor Advisory No. 6, Series of 2013 laying down the proper pay rules to be observed for these regular and special non-working holidays, as follows:

For the Regular Holidays on 25 December (Christmas Day) and 30 December 2013 (Rizal Day); and 01 January 2014 (New Year’s Day):

•  If the employee did not work, he shall be paid 100 percent of his salary for that day. Computation: (Daily rate + Cost of Living Allowance) x 100 percent. The COLA is included in the computation of holiday pay.

•  If the employee worked, he shall be paid 200 percent of his regular salary for that day for the first eight hours. Computation: (Daily rate + COLA) x 200 percent. The COLA is also included in computation of holiday pay.

•  If the employee worked in excess of eight hours (overtime work), he shall be paid an additional 30 percent of his hourly rate on said day. Computation: Hourly rate of the basic daily wage x 200 percent x 130 percent x number of hours worked.

•  If the employee worked during a regular holiday that also falls on his rest day, he shall be paid an additional 30 percent of his daily rate of 200 percent.  Computation: (Daily rate + COLA) x 200 percent] + (30 percent [Daily rate x 200 percent)].

•  If the employee worked in excess of eight hours (overtime work) during a regular holiday that also falls on his rest day, he shall be paid an additional 30 percent of his hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 200 percent x 130 percent x 130 percent x number of hours worked);

For the special (non-working) day on 31 December and the additional special (non-working) day on 24 December 2013, the pay following apply:

•  If the employee did not work, the “no work, no pay” principle shall apply, unless there is a favorable company policy, practice, or collective bargaining agreement (CBA) granting payment on a special day.

•  If the employee worked, he shall be paid an additional 30 percent of his daily rate on the first eight hours of work. Computation: [(Daily rate x 130 percent) + COLA).

•  If the employee worked in excess of eight hours (overtime work), he shall be paid an additional 30 percent of his hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 130 percent x 130 percent x number of hours worked).

•  If the employee worked during a special day that also falls on his rest day, he shall be paid an additional 50 percent of his daily rate on the first eight hours of work. Computation: [(Daily rate x 150 percent) + COLA].

•  If the employee worked in excess of eight hours (overtime work) during a special day that also falls on his rest day, he shall be paid an additional 30 percent of his hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 150 percent x 130 percent x number of hours worked).

Any  questions about this release?  Please call the DOLE Hotline 527-8000 or the DOLE Regional Office nearest your area (for the DOLE-NCR Office, tel. no. 400-60-11) or the Bureau of Working Condition at 527-3000 loc 307/303.

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